How to manually calculate unpaid leave for payroll?

To manually calculate unpaid leave, you would need to ensure that the Record Unpaid Leave in Payroll is not ticked under the Settings > Payment Settings.

1.   To calculate unpaid leave:

  1. Find the number of working days in the current month.

  2. Use this figure to calculate how much the employee is paid daily (monthly salary/working days in month).

  3. Multiply this figure by the number of days of unpaid leave.

2.   You may choose either one of three options:

  • Fixed Number of Days: You may select your company’s working days for the particular payroll month.

  • Working days in Current Calendar Month: Includes all ticked working days including public holidays.

  • All Days in Current Calendar Month: Includes all days in the current calendar month.

Example for Working days in Current Calendar Month:

Jim earns RM 4,000 a month, and takes 3 days unpaid leave in the month of March 2019. How much should be deducted?

Following the steps listed above, we find:

  • There are 21 working days in the month of March

  • Jim earns RM 190.48 per day (4000/21).

  • As Jim has taken 3 days off, the total deduction should be RM 571.43 (4000*3/21).

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